Ashburton District ratepayers will receive an average rate rise of 7.3 per cent on July 1.
The increase will vary for individual properties across the district, depending on their location, capital value and services they receive.
The 2025/2026 Annual Plan was adopted by the district council on Wednesday last week, confirming the lower average increase than 10.1 per cent earlier signalled in the Long-Term Plan.
Ashburton Mayor Neil Brown was happy with where the district council had landed after a thorough process.
“We cut some things out. We’ve changed a few things around, but it’s still above inflation.”
External pressure on budgets had come from increases in insurance and electricity costs.
Councillor Tony Todd said the increase was lower than projected, “but still probably higher than most people would like”.
“We have been through the budget line by line, and I think we have come up with a reasonable result”.
Councillor Richard Wilson pointed out rural rates were “going up substantially”.
“Rural people can have the comfort that we are investing heavily in roading.
“There will be some push back on the rate increase but they are getting something for it, it’s not just being lost in the greater council budget.”
The district council plans to spend $70.2m on operations, delivering and running services and $36.3m of capital expenditure, with a projected debt at the end of 2025/2026 of $166m.
Main changes from year two of the Long-Term Plan include the removal of a planned upgrade to Robilliard Park (saving $251,500), a 5 per cent increase to the drinking water rate (from $706.10 in 2024/2025 to $741.50 in 2025/2026) and using the Reserve Contributions Reserve to fund open spaces projects rather than loan funding.